Rrrrrrrr

British Land has made it to news with its plans to seal a £100m deal at a London West End development site. It is worth noting that the property was sold by British land to McAleer & Rushee in 2005 and repurchased for a little above half the price recently.

The site situated at 2-14 Baker Street was bought by UK REUIT for about £30m, though the property was sold for a mere of £57.2m five years back.

McAleer & Rushe had bought the property for £40m from the then owner Bank of Ireland. They had also planned to get permission for 140,000 sq ft area for offices to let London. The designing was supposed to be done by the famous architectural firm, Jestico & Whiles.

According to reports, the loan of £30m taken from the Irish Bank and underwritten by the Bank was about to be included in the loans scheduled to be transferred to the NAMA (National Asset Management Agency of Ireland) as the part of first set of transferred loans of £16bn.

However, it is interesting to note that Bank of Ireland has been quite disinterested in the site since British Land had claimed the property and announced its plans for development.

It is being predicted that McAleer & Rushe would be the building contractor for the development as they have some kind of a profit-sharing arrangement with British Land, which could be used for making good some of the losses that have been incurred.

It is also rumoured that British Land decided to try for this deal after consulting King Sturge and managed to get the deal over Henderson Global Investors.